Zebra Technologies (ZBRA): Assessing Valuation Following Q3 Results and Upbeat Sales Guidance

Zebra Technologies (ZBRA) has just released its third quarter results and outlined expectations for the upcoming quarter. Investors are paying close attention as the company anticipates sales growth, fueled in part by acquisitions and currency tailwinds.

See our latest analysis for Zebra Technologies.

Despite issuing upbeat guidance and completing a share repurchase program, Zebra Technologies’ share price has continued to face headwinds. The stock finished at $260.63 and delivered a one-year total shareholder return of -35.3%. Ongoing momentum remains muted as investors weigh long-term growth against recent dips and evolving market conditions.

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With a sharp decline in share price despite improving fundamentals and forecasts, investors now face a critical question: is Zebra Technologies undervalued amid renewed sales growth, or has the market already accounted for the company’s future potential?

Most Popular Narrative: 27% Undervalued

The consensus narrative pegs Zebra Technologies' fair value at $358, a notable premium to the last close at $260.63. This gap reflects analysts' conviction in future growth drivers and sets the stage for a closer look at what underpins such optimism.

The accelerating shift toward automation, digital transformation, and real-time workflow optimization, driven by ongoing labor shortages, e-commerce expansion, and increased supply chain demands, continues to fuel robust demand for Zebra's portfolio (hardware, software, RFID, machine vision), supporting sustained revenue growth and long-term earnings visibility.

Read the complete narrative.

Curious what kind of financial transformation supports that premium target? One pivotal assumption powers this outlook and hinges on future margins and steady growth. Want to see how analyst forecasts translate into a bold valuation stance? The narrative numbers may surprise you.

Result: Fair Value of $358 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, persistent uncertainty around global trade policies and the slow shift toward recurring revenue could quickly shift sentiment around Zebra’s long-term growth outlook.

Find out about the key risks to this Zebra Technologies narrative.

Build Your Own Zebra Technologies Narrative

If you have a different perspective or want to dig into the numbers yourself, you can create your own custom narrative in just a few minutes. Do it your way.

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Zebra Technologies.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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